MIRA
INFORM REPORT
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Report Date : |
31.05.2014 |
IDENTIFICATION DETAILS
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Name : |
TAIZHOU HOXING
TEXTILE MACHINE FACTORY |
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Registered Office : |
B4 Xiaowufen Industrial Zone, Luqiao District, Taizhou, Zhejiang Province, 318057 Pr |
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Country : |
China |
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Date of Incorporation : |
27.01.1987 |
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Com. Reg. No.: |
331004000103250 |
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Legal Form : |
Shares Jointly Owned Enterprise |
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Line of Business : |
Engaged in manufacturing and selling
of Textile Machinery Accessories, Plastic Products such as Plastic
Bobbin as well as import and export of goods and
technology Subject product
ranges includes Dyeing Bobbin, Roving Bobbin, Ring Bobbin, Cylindercal
Bobbin(Parallel Tube), Cone Bobbin, Fiber Steel Bobbin, Botany Bobbin, Weft
Bobbin, Steaming Bobbin, Twisting Bobbin, Spinning Bobbin, Shaped Bobbin Series, Sercoing Thread
Bobbin, After Bobbin & Assembly Bobbin |
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No of Employees : |
40 (Approximately) |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
Unknown |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made on
e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2014
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Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
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China |
A2 |
A2 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderate Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderate High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
China ECONOMIC OVERVIEW
Since the late 1970s China has moved from a closed,
centrally planned system to a more market-oriented one that plays a major
global role - in 2010 China became the world's largest exporter. Reforms began with
the phasing out of collectivized agriculture, and expanded to include the
gradual liberalization of prices, fiscal decentralization, increased autonomy
for state enterprises, creation of a diversified banking system, development of
stock markets, rapid growth of the private sector, and opening to foreign trade
and investment. China has implemented reforms in a gradualist fashion. In
recent years, China has renewed its support for state-owned enterprises in
sectors it considers important to "economic security," explicitly
looking to foster globally competitive national champions. After keeping its
currency tightly linked to the US dollar for years, in July 2005 China revalued
its currency by 2.1% against the US dollar and moved to an exchange rate system
that references a basket of currencies. From mid 2005 to late 2008 cumulative
appreciation of the renminbi against the US dollar was more than 20%, but the
exchange rate remained virtually pegged to the dollar from the onset of the
global financial crisis until June 2010, when Beijing allowed resumption of a
gradual appreciation. The restructuring of the economy and resulting efficiency
gains have contributed to a more than tenfold increase in GDP since 1978.
Measured on a purchasing power parity (PPP) basis that adjusts for price
differences, China in 2013 stood as the second-largest economy in the world
after the US, having surpassed Japan in 2001. The dollar values of China's
agricultural and industrial output each exceed those of the US; China is second
to the US in the value of services it produces. Still, per capita income is
below the world average. The Chinese government faces numerous economic
challenges, including: (a) reducing its high domestic savings rate and
correspondingly low domestic consumption; (b) facilitating higher-wage job
opportunities for the aspiring middle class, including rural migrants and
increasing numbers of college graduates; (c) reducing corruption and other
economic crimes; and (d) containing environmental damage and social strife
related to the economy's rapid transformation. Economic development has
progressed further in coastal provinces than in the interior, and by 2011 more
than 250 million migrant workers and their dependents had relocated to urban
areas to find work. One consequence of population control policy is that China
is now one of the most rapidly aging countries in the world. Deterioration in
the environment - notably air pollution, soil erosion, and the steady fall of
the water table, especially in the North - is another long-term problem. China
continues to lose arable land because of erosion and economic development. The
Chinese government is seeking to add energy production capacity from sources
other than coal and oil, focusing on nuclear and alternative energy
development. Debt overhang from its credit-fueled stimulus program in 2008-10,
particularly among local governments, and soaring property prices challenge
policy makers currently. Their efforts to cool a red-hot property market in
2011 appear to have curbed inflation, but contributed to slower GDP growth in
2012 and 2013. Slow recovery in Europe and other key export markets have also
retarded growth. The government's 12th Five-Year Plan, adopted in March 2011,
emphasizes continued economic reforms and the need to increase domestic
consumption in order to make the economy less dependent on fixed investments
and exports in the future. However, China has made only marginal progress
toward these rebalancing goals. The new government of President XI Jinping has
signaled a greater willingness to undertake reforms that focus on China's
long-term economic health, including giving the market a more decisive role in
allocating resources.
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Source : CIA |
Company name & address
TAIZHOU HOXING TEXTILE
MACHINE FACTORY
B4 XIAOWUFEN INDUSTRIAL ZONE, LUQIAO district,
TAIZHOU,
ZHEJIANG PROVINCE, 318057
PR CHINA
TEL: 86 (0) 576-82735688/82750991 FAX: 86 (0) 576-82750992
EXECUTIVE SUMMARY
INCORPORATION DATE : jan. 27, 1987
REGISTRATION NO. : 331004000103250
REGISTERED LEGAL FORM : SHARES JOINTLY OWNED ENTERPRISE
CHIEF EXECUTIVE : mr. zhang huafa (CHAIRMAN)
STAFF STRENGTH :
40
REGISTERED
CAPITAL :
cny 1,060,000
BUSINESS
LINE :
Manufacturing & SELLING
TURNOVER : N/A
EQUITIES : N/A
PAYMENT
: AVERAGE
MARKET
CONDITION : AVERAGE
FINANCIAL
CONDITION : N/A
OPERATIONAL
TREND :
STEADY
GENERAL
REPUTATION : AVERAGE
EXCHANGE
RATE : CNY 6.23 = USD 1
Adopted
abbreviations:
ANS - amount not stated
NS - not stated
SC - subject company (the company inquired by you)
NA - not available
CNY - China Yuan Renminbi
SC was registered as a Shares jointly owned enterprise at local Administration for Industry & Commerce (AIC - The official body of issuing and renewing business license) on Jan. 27, 1987.
Company Status: Shares jointly owned enterprise This form of business in PR
China is defined as a legal person whose registered capital is mostly or
wholly raised by the staff members of the enterprise. Its shareholders
consist of at least 8 staff members, and the staff members that are not
shareholders should be less than 10% of the total staff members.
It operates as a cooperative, under democratic management, paying
salaries according to the achievements of staff members and distributing
its profit according the shares owned.
SC’s registered business scope includes
manufacturing and selling of textile machinery accessories, plastic products
such as Plastic Bobbin as well as
import and export of goods and technology
SC is mainly engaged in manufacturing and
selling of plastic bobbins.
Mr. Zhang Huafa is legal representative and
chairman of SC at present.
SC is known to have approx. 40
employees at present.
SC is currently operating
at the above stated address, and this address houses its operating office and
factory in the industrial zone of Taizhou. Detailed information of the premise
is unspecified.
http://www.hoxing.com/ The design is
professional and the content is well organized. At present it is in both
Chinese and English versions.
No significant
events or changes were found during our checks with the local Administration
for Industry and Commerce.
For the past two
years there is no record of litigation.
MAIN SHAREHOLDERS:
Name
%
of Shareholding
Zhang Zhihai 50
Zhang Huafa 50
Legal
Representative and Chairman:
Mr. Zhang Huafa is
currently responsible for the overall management of SC.
Working
Experience(s):
At present Working in SC as legal representative and chairman.
SC is mainly engaged in manufacturing and
selling of plastic bobbins.
SC’s products mainly
include: Dyeing Bobbin, Roving Bobbin, Ring Bobbin, Cylindercal
Bobbin(Parallel Tube), Cone Bobbin, Fiber Steel Bobbin, Botany Bobbin, Weft
Bobbin, Steaming Bobbin, Twisting Bobbin, Spinning Bobbin, Shaped Bobbin Series, Sercoing Thread Bobbin,
After Bobbin & Assembly Bobbin
SC sources its materials 100% from domestic market. SC sells 90% of its
products in domestic market, and 10% to overseas market.
The buying terms of
SC include Check, T/T and Credit of 30-60 days. The payment terms of SC include
Check, T/T, L/C and Credit of 30-60 days.
Note: SC’s management declined to release
its major clients and suppliers.
SC is not known to have
any subsidiary at present.
Overall payment
appraisal:
( ) Excellent (
) Good (X) Average (
) Fair ( ) Poor
( ) Not yet determined
The appraisal serves
as a reference to reveal SC's payments habits and ability to pay. It is based on the 3 weighed factors: Trade payment experience (through current
enquiry with SC's suppliers), our delinquent payment and our debt collection
record concerning SC.
Trade payment experience: SC did not provide any name of trade/service suppliers and we have no
other sources to conduct the enquiry at present.
Delinquent payment record: None
in our database.
Debt collection
record: No overdue amount
owed by SC was placed to us for collection within the last 6 years.
SC declined to release its bank details.
SC’s management
declined to release any financial information.
SC is considered
small-sized in its line with 27 years development history. Taking into
consideration of SC’s market conditions and development history, we would rate
SC as an average credit risk company.
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.59.03 |
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UK Pound |
1 |
Rs.98.91 |
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Euro |
1 |
Rs.80.33 |
INFORMATION DETAILS
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Analysis Done by
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SUM |
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Report Prepared
by : |
MNL |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.